Am I the only one impressed by Powell?

I think Powell and the Fed are doing a good job right now managing this very dynamic situation. I even say this as someone who tends to prefer the Austrian School over Keynesian. They're holding rates, as of today, and I think that's the right call based on inflation and job data (although I think the labor market is in worse shape than the numbers would have you believe.) 

I personally thing he's done a great job as the Fed chair so far despite all the issues we've had over the past few years and I find his post-meeting press-conferences intelligent, insightful, and level-headed, which is a breath of fresh air. If they pull-off a "soft landing" then he needs some sort of award. 

Of course I could be saying this now and this time next week we're all crashing and burning so who knows. 

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Powell is one of the greatest Fed Chairmen of all time. I don't believe anyone in history has dealt with such polar opposite crises (lockdown-induced contraction vs. printing-induced inflation) as nimbly as he has. The fact that we're even talking about a soft landing after something like COVID should be grounds for an award.

 

Not saying he wasn't dealt a challenging hand, but can't put him near the top after his initial handling of "transitory inflation".

 

He is doing what he is supposed to do rn, which is not lower rater, and if he's got the balls him and the rest of the board will hike them once tariffs show up on inflation calculations. He, however, together with the board, RUINED the country with the near 0% interest rates during covid. And that will be his legacy. 

 

Same man called inflation transitory in 2022 and the fed also kept rates too low for too long after the GFC. I have no respect for those nerds.

 

We debased the currency forever over a flu (after debasing it for the prior decade over a real estate tulip mania). But what Trump wants is even worse. However no one wants to stop it when literally every business news story is essentially a Tyrone biggums pondering of what factors will make the fed lower interest rates. 

 

Best Fed Chair since Volcker. He could probably sign a $100mm/year contract next year at any large asset manager or other financial institution in 2027, but I doubt he will.

 

I think he deserves credit for his soft landing when curbing inflation. But I mean he did make a blunder early on (as did the consensus) regarding transitory inflation.

I think Powell is in a tough spot because the former Treasury admin left a mess of short term borrowing that has created a heinous maturity wall for the current Treasury department under Bessent, so I totally understand why they want the Fed to cut rates so they can further push down the 10 yr yield to under 4%.

It probably is time for the Fed to cut rates, but the Fed is operating under historical data that views Trump trade policy as inflationary, and the Fed loses lots of its credibility if they make a blunder on inflation again.

 

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